The ability to circumnavigate IT backlogs, find developer talent and create at a much faster speed are key benefits that appeal to the banking industry. They are looking to drive greater internal efficiencies, engage staff better and improve the customer experience - all things that no-code can bring to the table.
The Demand Is Increasing
In a survey last year, 96% of IT decision-makers stated that the demand for apps in their businesses was not sustainable with traditional coding. This is a theme common across the development world and with banking being one of the slowest industries to start using no-code (due to early concerns around security), they are playing catch up.
Now that they are embracing no-code development, it is being used to help with this massive requirement for new apps, both for their customers and internal teams. Mobile banking app development has become so popular that without the use of no-code, banks wouldn’t be able to keep up.
As no-code platforms have been improving and evolving, the templates within them are becoming more and more specialised towards the industry needs, which includes no-code in FinTech. These platforms allow banks to build apps faster, without too much IT involvement and give the business owner more input into the end result.
Often you will see a Minimum Viable Product produced by external no-code experts, meaning it’s produced quickly and without huge cost compared to a traditional software house, then handed to internal teams to evolve and add new elements.
This is great for departments that need a quick solution that fills an immediate need but know that new requirements will be added as things like regulatory law change. They don’t want to keep returning to external contractors or slow internal teams to make every change.
Allowing Traditional Banks To Compete
One of the great modern battles in the financial industry is the large, traditional banks competing against newer, more nimble banks. One of the challenges that these larger organisations struggle with is legacy platforms and siloed databases.
These problems make it hard for them to compete with neobanks who have built their infrastructure using modern technology, allowing a product range which can evolve quickly. One way that traditional banks can compete is by utilizing no-code development.
It allows them to build outside of the bottleneck of IT and without the limitations of the company's legacy systems. New products can be built much faster due to the templates that come built into the no-code platforms. It removes the need to spend time on repetitive tasks like creating logins, account management etc… and they all come with best practice built-in.
Another reason traditional banks struggle is because they cannot buy off the shelf software that will help their organisation quickly. This is because legacy systems have left them with such custom requirements that very few packages of that nature will work for them.
These organisations are left with no option but to build even the simplest software themselves, which is time-consuming and expensive, plus they just don’t have the resource. As a result, no-code for banks is the perfect solution. They can continue to create their own software but in a fraction of the time and use either internal staff or cost-effective no-code experts.
They can also continue to evolve these applications without having to go back to overloaded IT departments for every little change required, allowing for rapid development based on real user needs.
If you are looking to build a team of no-code experts that can help build applications that will help your business stay ahead of FinTech competitors, then we have access to the top 1% of developers in the field. Call for a free consultation, where we will advise how to build your roadmap.
Working Around The Staffing Shortage
A lack of developers is a problem in all sectors but with the challenges within the banking industry to stay up to date with aggressive new fintech competitors, it is one that affects them more than most. This is where no-code comes in to save them.
No-code has created a huge network of new developers that are experts in platforms rather than specific languages, making it much easier to find someone that can quickly build a new product.
There is also the added benefit that these no-code developers are considered less skilled and are not as scarce, meaning their costs are much lower. It is typical for a no-code development project to cost less than 50% of its traditional counterpart.
In addition to creating a much larger selection of developers, no-code creates the opportunity for non-technical people to build simple tools that would otherwise have to go through their IT department.
Whilst building apps and tools that would be used with customers will require the use of no-code experts, banks also have a lot of simple, internal tools that need completing to make them more efficient and agile.
Automating The Analogue
The banking industry is full of long, manual processes that cost the banks a lot of time and ultimately money. It was quite typical for something as simple as a loan application to require the completion of 20 forms and the collection of data from just as many different data sources to verify the application.
Modern technology can automate so much of this processing of data and verification, including looking at data across legacy systems and pulling together a single source of data needed for the specific role.
This is perfect for improving efficiency within banks and driving down staff costs as teams are spending less time working on repetitive tasks and being freed to work on things that will drive the business forward.
One real-world example of this in action was RBC Wealth Management in the US. It used to take around 100 pages and several weeks to process an application for a new account! Utilising no-code software to digitalise the process, they can now process that same application in 24 hours - critical as it's competing with more agile competitors.
These improvements are clearly having a massive impact on the customer experience, whose expectations are now so much higher. They assume all applications can be completed online; that their data is being correctly collated so they don’t have to answer the same question multiple times; with all of this is happening in real-time.
Escaping Compliance Hell
One of the leading needs within banks for apps is an ever-growing list of compliance to fulfil. Very few industries come with as much red tape and governance as finance, which for years has meant slow and error-prone spreadsheets. Enter no-code for banks.
So many of these compliance issues can be solved by simple, internal apps that either automate the repetitive and manual jobs or at the very least make the jobs easier. With no-code, teams are able to identify an area for improvement or potentially see an item on a risk register, then work on a solution quickly.
Because no-code platforms are so accessible to non-technical members of the team, even when developers are required to build some of the solutions, the briefing given will be far more insightful and less likely to include lots of requirements that cannot be fulfilled, thus saving a lot of time at the start of a project.
This now means that when a problem is spotted, the business user can define a solution and work quickly with either people internally or a cost-effective external resource to produce something that can be tested and rolled out.
If you are looking for support in producing internal tools to drive efficiency and improve compliance, then give us a call and get free support on how to develop a no-code roadmap and what no-code experts you might need. We can give you access to the top 1% in the no-code field.